COMMUNITIES | INFRASTRUCTURE | DEVELOPMENT October - December 2014 // Issue: 49
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ISSUE: 49
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Trademax Publications SA Affordable Housing Infrastructure & Development Tel: 0861 727 663 Cell: 082 266 6976 Fax: 0866 991 346 www.trademax.co.za Postnet Suite 241 Private Bag X103 N1 City 7463
CONTENTS
PUBLISHER: Billy Perrin billy@trademax.co.za 0861 727 663
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14
18
2
EDITOR’S COMMENT
4
SCHOOLS
EDITOR: Jennifer Rees
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BRICKS & PAVING
12
ADVERTORIAL
14
CEMENT & CONCRETE
ADVERTISING SALES:
16
FINANCE & INVESTMENT
kylin@trademax.co.za
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CEMENT & CONCRETE
0861 727 663
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CEMENT & CONCRETE
LAYOUT & DESIGN:
24
FINANCE & INVESTMENT
26
CEMENT & CONCRETE
28
URBANISATION
SUBSCRIPTIONS:
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HEALTH & SAFETY
belinda@trademax.co.za
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EVENTS
40
OBITUARY
editor@trademax.co.za 0861 727 663
Kylin Perrin
Craig Patterson craig@trademax.co.za
Belinda Thwesha 021 595 3422 DISCLAIMER The views expressed herein are not necessarily those of Trademax Publications. Although we have done our best to ensure the accuracy of our content, neither Trademax Publications nor SA Affordable Housing magazine will be held liable for any views expressed or
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information disseminated in this issue.
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ED’S NOTE
Taking opportunities Welcome to the closing issue of the SA Affordable Housing magazine for 2014.
A
s we prepare for the upcoming Southern African Housing Foundation (SAHF) Conference & Exhibition, themed ‘Affordable Housing opportunities for Southern Africa,’ we are reminded of a number of wonderful opportunities, both pending and that have come to fruition, on our local affordable housing landscape. In this issue, we share news of International Housing Solutions’ (IHS) “second fund attracting an impressive R1.5-billion.” This fund promises not only to invest in affordable housing in South Africa, but in other target subSaharan countries as well. On a smaller scale, we also feature a single multifunctional classroom ‘upcycled’ from a shipping container that has made a difference to a number of children in the Durbanville Winelands area in the Western Cape. The Vissershok Container Classroom, brainchild of a tenth grade pupil, and translated into reality by local Tsai Design Studio, not only represents a place of learning for Grade R pupils, but doubles up as a library later on in the day for older students. The surrounding area also includes play and gathering areas, as well as a handy vertical vegetable
garden that not only shelters the school from the wind, but also provides fresh food for their feeding programme. Another development worth noting is that SA Affordable Housing will be published as a bimonthly publication starting with our January-February 2015 edition. We believe the magazine will be better positioned at this frequency and afford us the opportunity to bring a more focused offering to our readership. We look forward to a stronger publication in the New Year and invite you to contribute towards this positive adjustment. To conclude, we at the SA Affordable Housing magazine are deeply saddened by the passing of Rob Johnson, Executive Director of the Master Builders Association of the Western Cape (MBAWC) and convey our sincere condolences to his family and colleagues. Wishing all our readers a strong end to another year and much success going forward. Enjoy the read. Jen
UPCOMING EVENTS SAHF INTERNATIONAL HOUSING CONFERENCE, EXHIBITION & HOUSING AWARDS 28 SEPTEMBER - 1 OCTOBER 2014 | CAPE TOWN
SACPCMP: 2ND ANNUAL PROJECT AND CONSTRUCTION MANAGEMENT PROFESSIONS CONFERENCE 20-22 OCTOBER 2014 | MIDRAND
View www.sahf.org.za for more info
View www.events.sacpcmp.org.za for more info
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WHY BUILD THE SAME
WHEN YOU CAN BUILD BETTER?
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SCHOOLS
Contained Vissershok Container Classroom provides learning space for under-resourced school in Cape Town. Photographs and project by Tsai Design Studio
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SCHOOLS
S
et in the picturesque Durbanville Wine Valley on the outskirts of Cape Town, Vissershok Primary School is a rural school where most pupils are farm workers’ children and from underprivileged communities living in Du Noon, a poverty-stricken township several kilometres away. The Vissershok Container Classroom, sponsored by three heavyweight South African companies – Woolworths, Safmarine and AfriSam – is a 12m recycled container converted into an independent classroom for 25 Grade R (age 5-6) pupils. The first phase of the project started with a design competition called ‘Making the Difference through Design.’ Run by Woolworths annually, the competition is aimed at introducing design to local high school pupils. This year the brief called for creative solutions on how a recycled container could be adapted to help under-resourced schools. The winner of the competition, Marshaan Brink, is a Grade 10 pupil (age 15) who delighted the jury with his playful ideas of an outdoor jungle gym and several sensible storage solutions for the container.
LEARN
PLAY
GATHER
GROW
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SCHOOLS
Row of green trees filters morning sun
Deep patio eave shades afternoon sun Gap in roof acts as heat buffer
Windows on both sides for cross ventilation
Vertical green wall shields play area against SE wind Side Elevation
The ideas were translated by Tsai Design Studio into a final design that also takes the site conditions and environmental factors into consideration.
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Built with limited means and budget, the final product incorporated four elements designed to maximise its usage:
SCHOOLS
LEARNING AREA:
PLAY AREA:
Grade R pupils use the container as their classroom in the morning and it doubles as a small library in the afternoon for the rest of the school.
Marshaan Brink’s concept for the play area is translated to be part of the container like a pair of outstretched arms. The steel frames extend outwards to hold play equipment for the younger kids.
A big sheltering roof insulates the recycled container from direct sunlight, while the gap in-between acts as a heat buffer that reduces heat gain. Cross-ventilation is achieved by a series of colourful windows on both sides of the container.
GATHERING AREA: The steep site offered an opportunity to extend the patio with stepped seating, something the school lacked, for pupils to sit outside and socialise during lunch breaks. The amphitheatre will also serve as an assembly area for the school.
GROWING AREA: A green wall in the guise of a vertical vegetable garden shelters the play area from the prevailing south-easterly wind. A large area adjacent to the container classroom was cleared and turned into a vegetable garden. Besides being an educational tool, the garden will also allow the school to have fresh produce to add to their feeding program.
Stepped seating
Patio
Reading area
Grade R classroom
Play area
Vertical green wall
Layout Plan
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OCTOBER - DECEMBER 2014
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FUNDING FOR THE DEVELOPMENT OF AFFORDABLE HOUSING HAPPEN
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BRICKS & PAVING
Newly completed homes built at Lakehaven Phase 2 at Newlands East in KwaZulu-Natal.
Corobrik builds up social housing in eThekwini Prudent sourcing and selection of building materials and fittings and fixtures have delivered Lakehaven Phase 2 − a ground-breaking social housing project that will definitely raise the bar in this segment of the housing arena.
D
irk Meyer, managing director of Corobrik, said that Corobrik is proud to have been associated with what is Durban’s third greenfields project.
Lakehaven Phase 2 has a proud lineage; its Phase 1 predecessor received the coveted Social Housing Project of the year 2011 award from the Southern African Housing Foundation (SAHF). “Lakehaven Phase 2 takes this a step further. With the foresight of substituting cheaper building materials with higher quality building materials, First Metro Housing, and construction, cost and project managers, HDH, have as good as redefined social housing and made it aspirational,” he said. Social Housing is a government subsidised rental or cooperative housing option for people with monthly household incomes of between R1 500 and R7 500. Lakehaven Phase 1 comprises 312 units. The second phase provides a further 280 units within 34 double-storey blocks of flats. Construction began in early 2013 and it is on track for completion by mid-year. The first 88 units are already occupied. Selection of tenants for the remainder will begin during the second half of the year. Each unit has two bedrooms, a bathroom, an open-plan kitchen and fully tiled living area with a DStv point. A granite kitchen counter top, taps and aluminium windows are quality features.
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A gated security controlled entrance and individual parking bays provide a step up for social housing. There are also plans to create a park, sports field and community hall. All upgrades were facilitated well within strict budgetary constraints and to meet strict objectives outlined by government. Mehmood Hoosen, HDH’s principal agent, pointed out that, while costs were kept low, the end product was of a high standard to the point where Lakehaven Phase 2 had definitely added value to the area. He said his company worked within strict parameters, but had enjoyed a great deal of flexibility when it came to overall design and choice of materials. “We may have started with a blank page, but it was not straightforward. We put a project team together and then workshopped (the project) in terms of finishes. It was about finding the best products for the development. It came down to speaking to people like Corobrik to make the best choices.” Hoosen said that the objective was to deliver a quality project through an improved choice of materials and top notch workmanship. “When you look at housing delivery, you realise that these units are made available to tenants from low income households who are paying minimal rent.”
BRICKS & PAVING “For them, living in something similar would be unaffordable. We are able to provide a home that is much more than a rental unit whilst allowing them to have greater disposable income for a better lifestyle and to fund important aspects, such as education for their children.” In line with capital subsidies provided through the Institutional Subsidy and the Capital Restructuring Grant, social housing developments must adhere to strict principles that extend beyond construction. Government policy calls for the integrated provision of services which involves the inclusion of social facilities in a location that is close to both cultural amenities and work opportunities. This approach also provides for better spatial planning and greening of the environment. First Metro Housing, Lakehaven’s developer, was established in December 1998 and is Durban’s foremost social housing company. As an independent Section 21 Company, it is responsible for the development and management of social housing in the eThekwini region. Its primary purpose is the development of quality and affordable residential rental accommodation for low to medium income households. The company was awarded the KwaZulu Natal Housing Developer of the Year Award in 2002 by the Institute for Housing in recognition for its pioneering efforts to provide sustainable accommodation for the lower to middle income rental market. In addition to aesthetic considerations, Hoosen pointed out that environmental concerns are top of the First Metro Housing agenda. In line with these, greening of the environment and the planting of trees, as well as the selection of building materials with a low carbon footprint were important. Corobrik products were therefore well suited to the Lakehaven project. These included Corobrik’s Country Cottage face bricks, clay Ironstone pavers and Geolok 400 retaining blocks. Face brick was used instead of stainless steel for balustrades. Aprons around the building were redesigned so that the vibrant colours of the Ironstone pavers could
be introduced in place of concrete while Corobrik Geolok earth retaining blocks provided for a practical and attractive landscaping throughout the complex. Hoosen pointed out that his client – First Metro Housing – would be responsible for maintenance for the next 20 years. Corobrik products allow for near zero maintenance. For example, the face brick inserts would require no maintenance, whereas stainless steel balustrades would need to be cleaned every six months to remove a patina that tends to develop on the surface in the warm, coastal climate. In addition, he said the choice of Corobrik products enhanced the sustainability of the housing project. “These products will last longer and are more sustainable. When we build, we also need to look at the aesthetics, as well as how we will impact on the environment. This is the first time we have gone this route and our client is happy with the outcome,” he said. On the aesthetic side, Hoosen noted that Country Cottage face bricks blended well with the environment and provided a design-enhancing contrast to plastered walls. Face brick was also used to build communal facilities, such as refuse storage areas. He said that tone and texture blended well with the environment, whilst meeting engineering requirements. He added that the Geolok retainers were a pleasant pink colour which also blended well with the environment. Hoosen said that, going forward, HDH would take a similar approach when selecting materials for future social housing projects, as well as the approach to the construction process itself. He said that during the building of Lakehaven Phase 2, they had prioritized the empowerment of women and youth from both within the immediate community and the broader eThekwini region. Meyer said that this was a perfect fit with the vision of Corobrik, which endorses both environmental and community upliftment via its own corporate social investment initiatives.
ADVERTORIAL
Construction estimating brought to life Boasting a unique product offering of Merkel’s, Costabill, and Billcost, and backed by the PPIS Skills Workshop, Product Pricing Information Systems (PPIS) has now taken construction estimation into the digital age with Merkel’s Live.
M
erkel’s has stood strong as the builder’s pricing book since 1947, and now, thanks to the possibilities unlocked by the mobile revolution, the tried and tested pricing book has taken on a digital facet in the shape of Merkel’s Live – the only construction estimating aid featuring live pricing. Setting the trend for estimators of the future, but firmly rooted to its original quality offering, Merkel’s Live, a digital incarnation of Merkel’s, is still the standard reference publication for the construction industry for pricing a bill of quantities. The ‘trades’ that make up Merkel’s Live are, for the most part, drawn up according to guidelines set out in the Standards System for Measuring Building Work, and items are drawn from the Model Bills of Quantities. Designed to guide the estimator through the complex processes needed to determine the final rate of a project, Merkel’s Live is used by all builders, from smaller contractors to large quantity surveyors and construction firms, as well as all strata of government departments. The package also provides labour and material costing, and has a component which adds these costs together to calculate profit. Merkel’s Live allows users to log in from a desktop or mobile device and to access software that serves as a standard reference publication for the construction industry and which contains the recommended standards and methods for the trades. Prices are regularly updated, meaning that pricing is effectively live and specific to all provinces across South Africa (including average RSA pricing), as well as Namibia. Available on the web and as a mobile app, Merkel’s Live quite literally brings all the features of the original Merkel’s package to the estimator’s fingertips. It doesn’t get better than that.
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Merkel’s Live can be bought via the PPIS website in bundles of one week, one month, or a year. The webbased application is automatically updated 3-4 times per year and a PC-based version is also available if no suitable internet connection exists.
FOR MORE INFORMATION: (t) 086 111 1273 (e) admin@merkels.co.za (w) www.ppis.co.za
CEMENT & CONCRETE
CEMENT & CONCRETE
Sephaku Cement supports provincial job creation priority Job creation for youth and artisan development featured high on priorities committed to in the State of the Province Address delivered by Premier Supra Mahumapelo of the North West Province Legislature and Mpumalanga Premier, David Mabuza. Responding to commitments from the provincial leaders, Sephaku Cement Chief Executive, Pieter Fourie affirmed the company’s support of regional targets and initiatives.
P
remier Mahumapelo aims to create 7 407 job opportunities through infrastructure development, the green economy and social economy during the financial year 2014/15 while in Mpumalanga, the target put forward was 78 000 per year over the next five years. Fourie said, “As our business grows, we will do what is in our power to support the people of the North West and Mpumalanga to make a real difference to their lives.” To date, the company has recruited more than half of the employees at its flagship plant, Aganang, from local communities. Most of these people have never been employed or were unemployed prior to the commencement of the project. “As we move into the operational phase of the Aganang plant, our employment numbers will reach 170 people at the cement factory and an additional 300 employment opportunities will be created through subcontractors,” said Fourie. The majority of the semi-skilled employees will be recruited from the adjacent communities.
During the company’s construction phase, Sephaku Cement’s project contractor spent approximately R500m with local subcontractors, of which the majority were from the North West Province. Both Premiers made a firm commitment to developing skills through trade and artisan training. “Development of skills in trades is critical in the two provinces,” commented Fourie. While Sephaku Cement built its plants, it invested in artisan development. He explained that in the three years of the construction of the project, they supported training of 10 fitters and electricians, of which 7 have been employed as artisans and artisan assistants at Aganang. Sephaku Cement will also focus on sourcing youth from FET colleges in the two regions to build its pool of learners for recruitment within its artisan programme. “We are committed to supporting the communities in which we operate by offering skills development opportunities to young people from previously disadvantaged backgrounds,” concluded Fourie.
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FINANCE & INVESTMENT
Major investments flow into affordable housing fund Investors are lining up for a share of sub-Saharan Africa’s booming affordable housing market, with global private equity investor, International Housing Solutions’ second fund attracting an impressive R1.5-billion.
I
HS announced the first close of Fund II. Investors include the National Housing Finance Corporation (NHFC), the World Bank’s International Finance Corporation (IFC) WBD Investment Holdings Pty Ltd, Global Environmental Facility and the Eskom Pension and Provident Fund. The Overseas Private Investment Corporation, a first fund investor is also investing in IHS’s Fund II. The launch of Fund II followed the strong risk-adjusted returns achieved for the investors in its first fund, the R1.8-billion SA Workforce Housing fund, which pioneered the development of large-scale stock in the affordable housing sector in South Africa. The SAWHF provided financing for over 28 000 housing units with a combined total value of more than R8.6 billion. IHS was also able to track and quantify the very positive social impact of the investment on the lives of people living in the developments which it funded. Soula Proxenos, Managing Partner of IHS, says the strong returns achieved with IHS’s first fund: The SA Workforce Housing Fund (SAWHF) provided clear proof that middleand low-income housing are a sound investment and a strong base for ongoing inflows into the sector. “There has been a great deal of interest in this historically under-focused asset class from both South African and international investors. Our investors are particularly attracted to this asset class as they want to achieve superior returns and help improve the social circumstances and make a significant positive impact on the lives of thousands of people. “With our second fund, our strategy remains the same,” Proxenos explains. “Because of urbanization and the growth of the middle class in Africa, the need for housing across the continent vastly outstrips supply, especially in the category of affordable housing. “In countries with a functioning mortgage market, that need translates into market demand.
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IHS specializes in sourcing and managing housing investments to fill this gap. The housing is targeted primarily at lowerand middle-income households. “Our investments in Fund II will remain primarily in the form of equity in the development of new singlefamily homes, multi-family (rental) and student housing.”
Soula Proxenos, Managing Partner of IHS.
Proxenos further announced that Fund II will consist of two sleeves: one of which will invest 100% in the Republic of South Africa, and one of which will invest 100% in other target sub-Saharan African countries. “Demand outstrips supply in many markets in Africa, and where the right conditions exist, the sub-Saharan sleeve of Fund II will invest in some of these markets. Our main focus will remain South Africa, but the sub-Saharan sleeve will start to proactively source deals in Ghana, Zambia, Botswana, Namibia, and Mauritius,” she says. “There are many great opportunities for affordable housing investments across Africa, and we’re optimistic that Fund II will deliver the same positive returns for investors, as our first fund, the SAWHF did. “We look forward to extending the successes of our first fund in Fund II and are confident we will raise more than R3 billion (US$300 million) for the new fund,” says Proxenos.
CEMENT & CONCRETE
Concrete codes, specs, standards and test methods set to change "This is to ensure durability and sustainability of structures by designing more energy efficient buildings to last longer, while using less material" says The Concrete Institute.
T
here are changes coming in design codes, standards, material specifications and test methods for concrete, says The Concrete Institute MD, Bryan Perrie. “Some have already arrived, so it is essential that all role players in the concrete industry remain up to date on the changes,” Perrie states.
HERE PERRIE PROVIDES A SUMMARY OF WHAT LIES AHEAD: Specifications are essential in the concrete construction industry to ensure adequate control of the works, protection of the client and public, and to be able to assess the completed works for quality and ultimately payment. South Africa’s concrete codes, specifications and test methods have generally been based on similar documents in the UK because those overseas documents form reference documents for our documents. With the advent of the European Union, all countries in Europe, including the UK, have had to adopt European Standards (EN) issued by the European Committee for Standardisation (CEN). This has resulted in South Africa not having the UK standards as reference documents. As a result of this, the South African concrete industry is in the process of adopting or adapting European documents to replace our existing documents. A number of SABS Working Groups are busy with this process to ensure it is carried out in a responsible way.
CHANGES IN PHILOSOPHY: The approach to the design of structures in the EN codes is significantly different to the existing local approach. This is to ensure durability and sustainability of structures by designing more energy efficient buildings to last longer, using less material. Previously, concrete structures have been designed to be structurally stable and then detailed or specified for durability.
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Bryan Perrie, MD of The Concrete Institute, says there are major changes ahead in concrete specifications, standards, design codes and test methods. Specifications contained requirements for certain properties and actions, such as with aggregates, the concrete, the construction process and quality control (strength). They were largely prescriptive with some performance requirements.
CEMENT & CONCRETE Recently specifications were amended to control ‘covercrete’ and specify those actual properties which prevent deterioration.
THE NEW PHILOSOPHY IN THE EN DOCUMENTS INCLUDES: 1. Determining the environment and required longevity; 2. Determining the required durability in that environment; 3. Choosing an approach to achieve durability; and then 4. Determining the structural design
DESIGN CODES: In the case of the ‘Basis for Structural Design’ or Loading Code, South Africa adapted the EN document and this is now SANS 10160. The EN Water-Retaining code has been adopted, but cannot be issued until the Structural Design code EN 1992 is adopted to replace SANS 10100-1. This is almost complete.
CONSTRUCTION SPECIFICATIONS: A decision has been taken to adopt two EN codes namely ‘EN 206-1 Concrete’ and ‘EN 13670-1 Execution of concrete structures’ to replace SANS 10100-2. The intention is to have a complementary SANS document for each of these documents indicating how they should be used in South Africa and containing most of the good local information contained in SANS 10100-2. This process is fairly advanced. Once these two documents have been issued, the SANS 2001 concrete series will have to be revised.
MATERIAL STANDARDS: In 1996, South Africa adopted the EN standards for cement, ‘SANS 50197 Common Cements’ and ‘SANS 50413 Masonry Cements.’ Note that Masonry Cements are not permitted to be used in concrete. Since then a number of other EN standards have been adopted including: • SANS 51008 Mixing Water for Concrete; • SANS 50450 Fly Ash for Concrete to replace SANS 1491-2; • SANS 55167 Ground granulated blast furnace slag for use in concrete, mortar and grout to replace SANS 1491-1; • SANS 53263 Silica fume for concrete to replace SANS 14913; and • SANS 50934 1-6 Admixtures of concrete, mortar and grout
TEST METHODS: Currently all construction test methods are being revised and reviewed. In the case of concrete, they are being compared to the EN methods for obvious reasons. In future, all construction test methods will form part of the SANS 3001 series with a prefix to indicate the material type.
OCTOBER - DECEMBER 2014
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CEMENT & CONCRETE
Building industry trending upwards Despite elections, crippling strikes and uneasy foreign exchange rates, the building industry in South Africa is on the mend and is showing signs of recovering beyond many analysts’ expectations.
T
his is according to Nico Pienaar, director of the Aggregate and Sand Producers Association (Aspasa), whose members are key suppliers of building materials to the construction, roads, cement and readymix concrete industries. The latest building data, as well as an array of indicators across these industries seem to indicate that the market is verging on a major recovery. “Even with a slew of negative events the total sum of building plans passed is showing healthy growth compared with last year’s figures, which in turn means that actual building and construction should follow suit shortly. Although commercial property developments have slowed somewhat, residential building is climbing handsomely and the commercial sector should follow as soon as confidence is restored in the marketplace,” predicts Nico.
SUSTAINABLE GROWTH He continues saying that Aspasa members are also reporting improved volumes, which reconfirms that more building material is being bought and consequently that more construction is taking place. With a host of largescale retail complexes and malls planned or in progress, as well as post-election infrastructural projects waiting in the wings, prospects for the rest of the year look good. Despite increasing demand for building materials, contractors should, however, be aware of the quality of materials that they purchase and ensure that materials are sourced from reputable suppliers, rather than fly-by-night operators who are looking at cashing in on higher demands. Considering that sand and aggregates have a direct bearing on the quality of structures, roads, etc. that are being built, it is important that contractors make use of Aspasa-accredited suppliers who practice sustainable quarrying practices and are trained to supply the right materials for the job at hand.
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Nico Pienaar, Director of Aspasa.
SUPPORTING THE ECONOMY “While Aspasa welcomes the ongoing recovery of the industry, it is important to ensure we put quality and sustainability first when it comes to undertaking new projects. We also encourage Government to unlock the vast infrastructural projects that have been on the cards for so long in order to support growth. Simultaneously, Government at all levels needs to encourage their inhouse procurement officials, engineers and consulting engineers to insist on using quality building materials from registered industry body associations, such as Aspasa.” “In this way we will not only ensure that the market recovers to its pre-recession state, but also that the recovery is based on sustainable practices that benefit local companies and creates employment for more people. By supporting our local quarries, cement manufacturers and other suppliers, we can contribute to creating a buoyant local economy that will further fuel growth in the development of our country,” concludes Nico.
FINANCE & INVESTMENT
Nedbank finances integrated affordable housing developments Understanding the increasing need for new affordable housing stock in South Africa, Nedbank has announced financing facilities of R120m to the Valumax Group for new housing projects in Gauteng. 24
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M
anie Annandale, Head: Nedbank Affordable Housing Development Finance, comments, “Over one million people seek affordable (rental and purchase) and social housing annually, but only around 25 000 new units become available each year, clearly illustrating that while demand is very high, availability of suitably well-located housing is far from sufficient.� The first development, namely Riverside View Ext 28, is a fully integrated housing development located directly north of Steyn City and west of William Nicol Drive (K46) within one of the fastest growing development nodes in Johannesburg, and which is earmarked to become the most strategic development node in Gauteng. The development will provide a good mix of private public amenities, such as parks and schools. The second project, Clayville Ext 45, is located in Tembisa, directly to the north of Kaalfontein Ext 22 and west of the K111 Provincial Road, within the Ekurhuleni Metropolitan Municipality area of jurisdiction. “We are heartened by the number of people in the lower income ranges who are set to benefit from these housing developments,� says Annandale. “More than 9 000 residential stands will be built inclusive of both developments. Riverside View Ext 28 will provide an estimated 2 166 single residential GAP units to be developed in six phases over the next five years, which Nedbank is funding. However, the development on completion will yield 5 754 residential units, comprising of single residential GAP, high density walk-up subsidy (RDP) houses and high density walk-up social housing rental units,� says Rocco De Kock, Director of the Valumax Group. “Clayville Extension 45 will provide a total of 3 222 residential units of which 1 134 will be single residential GAP units, 398 multi-storey social housing rental units and 1960 multi-storey fully subsidised units. The social and subsidy homes are in partnership with the Gauteng Department of Human Settlements, therefore meeting the objective of providing fully integrated housing,� adds De Kock.
FINANCE & INVESTMENT
The areas have been earmarked for further development due to the significant demand for property from the emerging market, which consists of middle class families. These homes will be targeted at couples and individuals with a joint gross income ranging from R14 000 to R22 000 per month. The installation of civil services in Phase 1 of Riverside View Ext 28 has commenced, and it is estimated that construction will be completed in October 2014, with construction of the first 430 GAP units to commence in January 2015. The anticipated house range will include a 45m² twobedroom, up to a 65m² three-bedroom unit. The development at Clayville Ext 45 will offer a 45m² two-bedroom unit from R320 600 (Incl. VAT) and the house range will also include a 52m² and 56m² three-bedroom unit. “Nedbank’s commitment to help accelerate housing delivery sees the bank as funding partner with credible developers such as Valumax, to ensure quality affordable homes,â€? continues Annandale. “Previous development funding facilities executed to Valumax include R63m for an affordable housing development in Soshanguve, a R13m facility to finance the development of 192 residential units in Riverlea Ext 3 and a R15m facility for the installation of services in Allandale View, Midrand,â€? concludes Annandale.
Find a supplier www.terraforce.com
Tel: 021 465 1907 OCTOBER - DECEMBER 2014
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CEMENT & CONCRETE
Safe wall designs with Terrasafe
Bryan Newby on site in Dubai.
In response to market demands, Terrasafe, a design service that provides first-class engineering, management, and specialist technical assistance to users of any of the Terraforce products, was launched early in 2011.
A
fter implementing a sustainable and ethical business model for 35 years, Terraforce, together with its local and international partners, can report a steady and positive business outcome. In spite of a long global recession, the company has, on average, maintained continuous growth. To achieve this growth, Terraforce partially made available a great amount of information for the benefit of its customers. This strategy did, to a certain extent, encourage some imitators, but since most of them lack the commitment to and knowledge of the product, they usually don’t persevere.
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An unfortunate side-effect is that they often leave disappointed customers in their wake and another dent in the reputation of the industry in general. But with its aim to set industry standards and make a significant contribution throughout South Africa and the world by offering a unique design service such as Terrasafe, Terraforce is hitting the mark by offering industry-leading expertise as trusted advisors and applying customised approaches to enable clients to define strategies that will help them succeed.
CEMENT & CONCRETE
Wick drains installed between cut-face and engineered backfill with block facing.
After all requirements and technical data are processed and approved, the client will receive one or more crosssection designs that can be applied to site. This approach has worked successfully for various projects, past and current, in South Africa and other countries. As more and more clients requested provision of site supervision and professional indemnity insurance, Terrasafe added this additional service to its portfolio. The cost for the extra assistance will naturally be higher and is based on a percentage of the Terraforce project value. Working on a noise barrier, at night at 34°C and 75% humidity, due to excessive heat in daytime. Clients that wish to receive Terraforce wall designs from Fred Laker, an engineer specialising in this field since 1997, need to provide the following input regarding their requirements: • Geotechnical report and/or density tests, if available. • Photographs of the site. • Completed Terraforce questionnaire for gravity, composite or terraced walls. • Any information on previously proposed designs involving other methods.
Currently it will only be available for installations that can feasibly be managed from Cape Town, but in time may be extended to other centres in South Africa and overseas, in association with engineers that are based near those sites. Terrasafe has, and currently is, specifying Terraforce products for building sites in South Africa, Namibia, Swaziland, Chad, Australia, India, Spain, Canada, UAE, Qatar, Bahrain, and the UK.
For more information, visit www.terraforce.com.
OCTOBER - DECEMBER 2014
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URBANISATION
Africa and urbanisation:
Re-imagining Africa’s realities The Daily Maverick has recently published a number of pieces speaking to some of the consequences of urbanisation that often go overlooked by the public. In particular, two articles have raised key insights about service delivery and access in the face of large-scale urbanisation. Article by: Janetta Deppa Images provided by: Future Cape Town
Bird’s eye view of part of Khayelitsha, South Africa’s second largest township.
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n the article, ‘Analysis: Africa’s cities, crying out for reimagination,’ van der Merwe explains how widespread urbanisation on the continent has lead to a huge shortage of housing services and delivery. Some negative consequences of this massive migration to cities are the lack of land, infrastructure, and governmental ability to provide service delivery. These problems require immediate attention, considering 40 percent of the continent is already urbanised. As the author explains: During the budget debates, Human Settlements minister Lindiwe Sisulu admitted that the delivery of housing in all South African provinces was a massive problem and that it had “dropped drastically.” As Rebecca Davis wrote, “The problem, in crude terms, is that too many people are moving to South African cities, and there isn’t enough land available for them. ‘We are ill-equipped to deal with this rate of urbanisation,’ Sisulu said, though she promised 1.5 million homes over the next five years.”
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But, say some academics, migration is not the primary problem. Cities are actually expanding from within – and even without the influence of migration, the rate of urbanisation across the whole of Africa is posing a significant challenge to policy makers, governments and researchers alike. And it’s not only a South African problem. Urbanisation in Africa is one of the fastest-growing fields of study, and stakeholders are working overtime to try to build a critical mass of workable knowledge to combat inequality in the continent’s cities. To put the current situation in perspective, the middle-class population across Africa’s cities is expected to double by 2050 and the population of informal dwellers to treble. Only three percent of urban dwellers are eligible for a mortgage and only 28 percent have ‘stable’ jobs (including minimum wage employees). Sixty-three percent are in ‘vulnerable’ jobs, i.e. sources of income they could lose at any time.
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URBANISATION The implication is therefore that urban planners have to build infrastructure that is desperately needed, but that might fall apart at any time because tax bases might not be maintained. Professor Sue Parnell of the African Centre for Cities (ACC) points out that there is a critical lack of understanding of African economics. “We don’t understand the informal sector, so we stereotype,” she says. “We don’t understand Africa’s urban labour market very well. There is also a tendency to inflate increases in wealth, because it is coming off such a low base, and there is a lack of knowledge about where to invest,” she says. One of the major challenges facing African urbanisation today is an anti-urban bias, believes Parnell. “The population may be 50/50, but 90 percent of the funding will go to rural development,” she says. “This speaks of a definite anti-urban bias.” This, too, means that poverty and inequality in cities are real, significant problems. However, she points out, there are also other factors at play, such as a belief that there is more internal expertise on agriculture, for example; or there may be political factors – such as a desire amongst donors not to create more economic competition by developing African urban interests. However, she points out, through the painstaking work of scholars and academics, attitudes and thought patterns are slowly changing. In the second article ‘Transforming urban realities: the need for responsive strategies,’ Adone Kitching of Islandla refers to the recent Lwandle protest and process, and calls for a re-imagination of housing in urban areas. Informal settlement upgrading could go a long way in creating a more accessible city, while ensuring basic human rights for many more of its inhabitants. While civil society and non-profits have witnessed some successes in informal settlement upgrading, the issue needs much more attention within the government and public policy agenda, for, as she explains, not only does upgrading entail the building of houses, but it also requires creating a liveable community, a phenomenon that will take much more effort and coordination from a number of actors. Kitching speaks about the Breaking New Ground policy, which details a comprehensive commitment from the government to provide better facilities and houses to townships. She explains: Breaking New Ground was instrumental in highlighting the value of incremental in situ informal settlement upgrading as a strategy for building safe and adequate living environments. In a recent piece in the Daily Maverick, Lauren Royston and Stuart Wilson from SERI note that informal settlement upgrading is essential for providing affordable housing at scale. The upgrading approach also recognises the need for both physical and social infrastructure. In addition to the provision of sufficient shelter and access to basic services and amenities,
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upgrading interventions emphasise the need for building the capacities of urban communities. If South Africa faces, as the Minister suggests, ‘alarming’ rates of urbanisation, then informal settlement upgrading offers a viable strategy for dealing with rapid growth and transformation. Such an approach can ensure that the basic needs of millions of urbanites are met, and that residents are empowered to engage with the state as equal partners in development. It is then, firstly, essential that the state recognises the voices of the urban poor. Secondly, it must create platforms for meaningful community participation, and become a structure that empowers residents by building their capability to improve their own living conditions. For communities to realise their role as active and equal partners in development, the state will also have to invest significant effort in building parks, recreational facilities, schools and clinics. The current state of affairs suggests that there is a mismatch between the state’s proposed strategies for transformation and the reality faced in South African cities today. Rapid population growth coupled with housing backlogs and dwindling delivery rates make it clear that the road ahead will not be an easy one. But the challenge of human settlements can be met through responsive approaches such as in situ informal settlement upgrading, and through collaborative processes that draw on the skills of multiple partners. What both articles have pointed out is the huge shortage of housing services in the face of ever-increasing urbanisation trends. Certainly, housing rights and property ownership for the urban poor are critical issues, not only for providing access to infrastructure for all, but also for ensuring that basic human rights are met. Considering that development has not been occurring at the same rate of urbanisation for most African cities, this issue requires not only support from multiple stakeholders, but also innovative solutions. Are governmental policies adequate when addressing inequality and social exclusion for affected settlements?
REFERENCES: Kitching, A. (4 August 2014). Transforming urban realities: the need for responsive strategies. Retrieved 17 August, 2014, from Daily Maverick: www.dailymaverick.co.za/ opinionista/2014-08-04-transforming-urban-realitiesthe-need-for-responsive-strategies. Van der Merwe, M. (29 July 2014). Analysis: Africa’s cities, crying out for re-imagination. Retrieved 17 August 2014, from Daily Maverick: www.dailymaverick.co.za/ article/2014-07-29-analysis-africas-cities-crying-out-forre-imagination.
ARE YOU A HDI PROPERTY DEVELOPER IN THE AFFORDABLE HOUSING MARKET?
CONSTRAINED BY FUNDING CHALLENGES? Opportunity exist
To partner with Gauteng Partnership Fund (GPF) by participating in a dedicated Entrepreneur Empowerment Fund – Incubation Programme that aims to assist emerging black owned companies to enter the affordable housing rental market. The GPF wants to hear from you. You may have aspired to enter the affordable housing rental market before, but been unable to start or grow. Now you can.
Criteria If you are a legal entity with: • • •
•
•
BEE/Historically Disadvantaged Individual (HDI) ownership of the entity – Level 1-4 status. Preference will be given to black disabled applicants and black applicants as per the definition in the BBBEE Act; An interest in catering to affordable housing rental market (household income up to R15 000) A potential walk up project that can yield over 15 affordable housing units in Gauteng. Projects located outside Johannesburg Metro in under developed areas of Townships will be considered favorably; and That can demonstrate access to unencumbered capital (minimum of R450 000) as sponsors equity contribution required towards a project of approximately R15 million value. Letters showing equity contribution from institutional investors will not be considered; If you meet all the above broad criteria, then kindly collect a business plan framework as a guide for application from our offices or request for a copy from info@gpf.org.za. For more application documentation queries, please contact GPF on 011 685 6600 or visit our website on: www.gpf.org.za
Please quote reference number 0029 when speaking to a GPF representative. All hard copy applications may be submitted by the 31st October 2014 before 4:30pm at our GPF offices, 82 Grayston Drive, Sandton.
For more information or to apply for funding contact: Maki or Phetsile Tel: 011 685 6600 or Email: immaculates@gpf.org.za & phetsilek@gpf.org.za www.gpf.org.za
HEALTH & SAFETY
MBSA survey shows danger of poor supervision on building sites "South Africa should not be surprised if more structures collapse and more people are killed or injured in the process," MBSA warns.
T
he South African building industry regards the lack of supervisory skills on building sites as the most critical – and potentially disastrous – facet of the increasing skills shortage in the construction sector, says Tumi Dlamini, Executive Director of Master Builders South Africa (MBSA). Dlamini was announcing the results of a recent Skills Needs Survey, undertaken by MBSA , which showed that 41% of the MBSA members nationwide who responded to the survey regarded the shortage of skilled construction foremen as ‘most critical’ in all worker categories covered. “Based on this alarming feedback which, in effect, means that many building contractors are undertaking building operations without skilled supervision on site, South Africa should not be surprised if more structures collapse, and more people are killed or injured in the process,” Dlamini warned. “The increasingly regular media reports about such disastrous building collapses merely endorse our members’ apprehension.” Supporting the survey’s findings about the shortage of skilled foremen, also high on the list of categories where more training was seen as essential was ‘Generic Construction’ – in other words, multi-skilled staff. Formally trained tilers, glazers, plasterers, plumbers, welders, and shopfitters, to name but a few categories, were also in short supply. Dlamini said the respondents felt that the most critical artisan trade was carpentry, followed by bricklaying, painting/decorating, and then plumbing and joinery (wood machinist) at the same level. “The survey also showed the low level of support for formal training among employers. Only about 11% of the respondents were involved in any form of accredited or formal training of staff, with close to two thirds opting for in-house training. Most of the employers regarded the current state of formal accredited artisan training as ‘poor’ while a large percentage of those who were involved in formal training did so to boost their BBBEE status or benefit from tax incentives, coupled with increased productivity,” she explained.
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SOME OF THE MAIN REASONS GIVEN FOR NOT SENDING STAFF FOR ACCREDITED TRAINING INCLUDED: • Once qualified, the staff tended to seek work elsewhere; • Formal training was too expensive; and • The formal training environment was too complicated. “Access to funding, quality of the training providers, the administration process regarded as intricate, and a shortage of time for training, were seen as the major obstacles hampering formal accredited artisan training in the building industry.” An overwhelming 80%-plus of the respondents said they would support the establishment of a national training register of qualified artisans for the building industry. “The results of the survey are alarming – but not surprising. They simply echo the long-standing MBSA plea for increased and improved training facilities, driven by government. In this respect, it is encouraging to note that this year’s State of the Nation address by President Zuma Tumi Dlamini, Executive Director of pledged the MBSA: “Expect more building establishment of 12 disasters if training is not stepped new training and up,” she has warned. vocational education colleges to expand the technical skills mix in South Africa. We eagerly await more details about these colleges, when they are likely to open, and to what extent they would help the ailing building industry,” Dlamini added.
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New Youngman premises: Architecture by Martin Commerford of DHA and interiors by Leon Saven Design
EVENTS
SAHF 9 th International Conference and Exhibition 28 September - 1 October 2014 The Southern African Housing Foundation (SAHF) is to host its annual International Conference, Exhibition & Housing Awards again in September of this year, and promises to deliver another great line-up of speakers.
A
mong the speakers this year are Elizabeth Glenn, Vice President, International Research & Global Exchange, National Association of Housing Redevelopment Officials (NAHRO); Lené le Roux, Advisor in Economic Development & Planning, South African Local Government Association (SALGA); Gyorgy Sumeghy, Advocacy Manager, Habitat for Humanity, Europe, Middle East & Africa (EMEA), Slovakia; and Dougal Westley, Managing Director, One G Services.
Elizabeth Glenn, Vice President, International Research & Global Exchange, National Association of Housing Redevelopment Officials (NAHRO)
CASE STUDY − EAST TOWSON, A HISTORIC AFRICAN AMERICAN SETTLEMENT East Towson, a historic African American community in the heart of Towson, Baltimore County, Maryland’s county seat underwent an urban regeneration process that engaged the community in an intensive and responsive community development process.
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The community worked with the Baltimore County Office of Community Conservation, the Office of Planning, and two NGOs to redevelop sub-standard housing, and to create new infill opportunities. The housing was rehabilitated and built to energy efficient standards, and created new home-ownership opportunities for current and former residents. The resulting effort created new energy efficient housing and stimulated housing values so that they increased by 400% in 10 years. This case study demonstrates the approach taken to engage the community in the design and development process and informs as to how the project was financed.
Lené le Roux, Advisor in Economic Development & Planning, South African Local Government Association (SALGA)
THE ‘COST’ OF INTEGRATION Reflecting on property development since the constitutionalised aim to create an equal, integrated and democratic urban landscape in 1994, it is clear that in reality the opposite is being constructed.
International Housing Conference “Affordable Housing Opportunities for Southern Africa� DATE: VENUE:
28 September - 01 October 2014 Lord Charles Hotel Somerset West Cape Town
40 Speakers Exhibits Housing Awards
Minister Lindiwe Sisulu Dionne Roberts Ezekiel Esipisu
Thabo Molaba Anita Ebersohn
THE CONFERENCE TO BEAT ALL CONFERENCES. Where dynamic professionals meet and exchange ideas on housing delivery.
Join us where industry role players network and meet to engage and debate issues of national importance for the future of the Affordable Housing Market. With key presentations from Government, Policy Makers, Researchers, Industry Experts and Practitioners, delegates will see the vision for the future. Learn about new trends and innovations in Affordable Housing and Human Settlements Developments . View the exhibitions on display from the public and private sectors. For the first time participate in the Habitat for Humanity Key Note Sessions debating advocacy and the sustainable development for sub-Saraha Africa REGISTER NOW IN ORDER TO AVOID DISAPPOINTMENT Contact: Tracy: e-mail:
+27 21 987 7950 events@sahf.org.za
EVENTS This is largely instigated by global markets and political games. Government-delivered housing projects lack innovation as greenfield sites continue to be used extensively and informal settlement upgrading grapples with mammoth infrastructural, tenure, layout and spatial constraints. Meanwhile, townhouse estates have flooded the active, formal property market and the newest South African National Building Standards approved by the NHBRC have further restricted less formal housing developments. What unfolds is a sterile image that the cost to spatially integrate diverse racial, cultural and income groups is too high to realise. But to what extent is this not a reflection that South Africa is content with of the short-sighted and unsustainable vision inspired by Apartheid and Colonisation? In fact, the real cost of the fierce resistance and ignorant fear of integration is on societal and economic progression.
Dougal Westley, Managing Director, One G Services
A STUDY INTO THE HOLISTIC DELIVERY OF HOUSING, INFRASTRUCTURE AND FACILITIES FOR SUSTAINABLE HUMAN SETTLEMENTS
Gyorgy Sumeghy, Advocacy Manager, Habitat for Humanity, Europe, Middle East & Africa (EMEA), Slovakia
HOW ACCESS TO LAND COULD CONTRIBUTE TO AFFORDABLE HOUSING IN AFRICA Access to land often lies at the heart of poverty housing, depriving the poor of the most basic physical, economic and psychological security of adequate shelter. Huge numbers of people in need of adequate housing struggle on a daily basis with tenure security and fear of eviction. Improving access to land can increase economic growth, encourage business development, address inequalities, enhance success of microfinance loans, and reduce poverty in developing countries. More than improving economic conditions, access to land can provide a source of identity, status and political power, and can serve as a basis for the pursuit of other rights. Despite its importance, barriers to accessing land remain in many countries. These barriers include insufficient or excessive legal and regulatory systems, gender discrimination, inefficient or inadequate registration/administration, customary and traditional practices, corruption, etc.
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Thanks to a strong focus on housing delivery since 1994, the Government has made significant inroads into the backlog of housing for the poor through various programmes and delivery mechanisms. This extreme focus however, has left the development of bulk infrastructure and related social and economic facilities disproportionate and inadequate. In recent years Government has reviewed the approach from merely the delivery of housing to the establishment of sustainable human settlements. This revised approach demands the holistic and aligned delivery of services, housing and related facilities and amenities. This paper discusses a Governmentcommissioned investigation into housing delivery across seven municipalities in terms of the above, the identification of corrective and future projects and the development of a fundamental system to manage the implementation thereof. This paper overviews the system developed and summarises order of magnitude scope and cost implications for bulk infrastructure and educational, health and other key facilities. The potential institutional structures and requirements are also briefly discussed. The targeted centralized planning and management approach is hoped to unlock in excess of 100 000 housing opportunities for mixed communities with sustainable services thereto and appropriate social and economic facilities and amenities. For further information please click on the link http:// www.sahf.org.za/CONFERENCE.html or email Tracy: events@sahf.org.za
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OBITUARY
Rob Johnson: In memory of a master builder Statement by the Master Builders Association of the Western Cape
I
t is with deep sadness that we learnt of the passing of our Executive Director, Rob Johnson. The loss we feel of his friendship, counsel and leadership is immense. Rob will be remembered for his commitment to education and the upholding of standards in the industry.
In addition to serving as the MBAWC Executive Director, Rob was the Managing Trustee for the commercial arm of the Belmont Square Trust. He was also a Board Member of Master Builders South Africa and Chairman of the Occupational Health and Safety committee. During the course of his career, he served for many years on the Construction CETA council, but resigned due to feeling that his efforts towards skills training were constantly hindered by those who were disinterested in advancing skills in the industry.
He was passionate about ensuring that the future of the industry would remain in the hands of fullytrained and competent persons. He will be sorely MBAWC Executive Director, Rob Johnson. missed by all who knew him both personally and professionally. We would like to extend our deepest sympathies to his wife and children. Rob was passionate about skills delivery and quality of workmanship and thus spent a considerable amount of his Rob was well known for constantly lobbying for the rights time promoting contractor competency and contractor of employers in the building industry along with those of development. their employees. He was also a fervent campaigner for skills development and training in the industry. When not working, Rob enjoyed woodwork and working with his hands – passions that resulted in him becoming Rob’s career in the industry began when he worked as an Chairman of the Cape Town Woodworkers club. He also apprentice carpenter whilst completing a National relished sailing radio controlled yachts and would take Diploma in Construction Supervision. During his part in the annual RC Laser championships. Rob played the apprenticeship he worked on many projects ranging from piano and guitar, and was the Chairperson of his housing schemes to the construction of blocks of flats. neighbourhood watch. Once his apprenticeship came to an end his employer engaged him to look after the company’s small works Rob leaves behind his beloved wife, Margie, four children division. and two grandchildren. He was subsequently promoted to contracts manager and, after 16 years, spent a year-and-a-half with a housing development company before forming his own company, Rob Johnson Construction, in 1983. In 1995 he was elected to the executive committee of the Master Builders Association Western Cape (MBAWC) and was elected President of the association in 1999. In 2000, he joined the MBAWC as a full-time staff member and was appointed as the Executive Director.
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MBAWC President Craig Bain states, “It is with great sadness and shock that we announce the passing of our Executive Director. Rob has been a Master Builder all his working life and has served the building industry with dedication and passion. Deepest condolences to the family. He will be greatly missed by the officers and staff at MBAWC along with the staff at Belmont Square Conference Centre, home of the Master Builders.”